Saturday, September 20, 2008

Its 3:00 am again: Where's Obama

Another 3:00 am moment has reared its ugly head. Our financial infrastructure is in ruins right now. It has been a long time coming and it is here. The meltdown of Fannie, Freddie,, Lehman Brothers, AIG, and others is a startling reminder of what is wrong in America. The excesses of the 1990's and early 2000's are wreaking havoc on our financial institutions. John McCain has a six point plan to help resolve the crisis. Obama is said to be on the verge. We need leadership not followers. McCain is out front on the crisis providing leadership. Obama is following and is on the verge of developing a plan. Who's out of touch?

The main issues with our economy are high energy costs, foreclosures, and our failing financial infrastructure. Barack Obama and the Democrats derided John McCain for saying "the fundamentals of the economy are strong", but came up with no plan to move us forward. Harry Reid says "no one knows what to do". Obama is saying hey I will tax the rich and give it away. The Democrat led Congress may adjourn without doing anything. John McCain on the other hand recognizes the complexity of the economy and understands that energy, jobs, wall street, and mortgages in crisis are intricately tied. McCain developed a comprehensive plan that will move the country forward. Obama is sticking his head in the sand and hoping this crisis just goes away.

Obama says wages are stagnant. This is not entirely true. The one thing they democrats do was raise the minimum wage. This increase in the minimum wage also raised the wages for the union workers. The August unemployment number jumped to 6.1%. How many unemployed workers are unemployed due to rising direct labor costs? On JUL 24th, 20008, the minimum wage was raised over 10%. This 10% rise in the minimum wage not only increased the hourly wages of minimum wage workers but also union workers. Union contracts have language in the contract that says whenever the minimum wage is increased the union members wages will also raise accordingly. The Democrats should have recognized the economy was on the brink of recession and curtailed or postponed the minimum wage increase? Why you might ask? Just look at the number of jobs in our economy that were lost in August due to rising direct labor costs. The policy of increasing wages is the leading culprit of sending our jobs overseas. Our ability to compete is further eroded and even more jobs in our economy will be lost. This must be the bottom up approach. Let's increase wages to the point no one can work because there are no jobs to be had.

Obama's economic policy is to increase taxes on the wealthy. In return for making the rich "patriotic" in order to give money away to people that do not even pay taxes we as the middle class will be afforded to opportunity to pay even more for our goods and services. We will be forced to support foreign economies because Americans will not be able to purchase American made goods. Increased taxes on the wealthy does two things: Increased taxes creates inflation and creates unemployment. This is due to the rising tax costs being passed on to the consumer and cutting costs in an effort to offset the costs being passed along. Is this really change we can believe in? This is the same failed policy of Jimmy Carter. The misery index will go through the roof.

Obama's energy policy is tied to the environment rather than the economy. Obama does not understand that the rising energy costs are eating away at the infrastructure of our economy. Rising energy costs have cost people jobs. Companies are unable to pass all energy costs onto the consumer. Companies have to cut corners in other areas. Some of the areas where corners can be cut are in customer service and basic labor. America's customer service has become a joke. Many customers service reps are rude and obnoxious but we either have to conduct business through these people or go through endless automated menus that never quite get us to where we want to go. Obama does not really care that rising energy costs are eating away our infrastructure. Remember he ties it to environmental policy. Obama has a plan to tax the oil companies which will increase our energy costs and hope that the shotgun approach to research and development pans out. He does not know which direction to take. All Obama knows and understands is that fossil fuel is bad for the environment so we need something else. No matter that there is no technology there yet. Rather than focus developing technology, Obama will waste billions on unrealistic pipe dreams and spread out the billions so broadly that nothing will really have enough funding to accomplish anything. Obama's plan is to spend billions and hope for something.

Obama has remarkably remained AWOL on the financial crisis. Obama cozy relationship with Fannie and Freddie, has clouded any judgment Obama may have had. John McCain knew Freddie and Fannie were in trouble as far back as 2005. McCain sponsored legislation to reform Freddie and Fannie. It was opposed by both democrats and republicans. In 2005 it sounded like a great idea to give people homes and mortgages even though they were never going to be able to afford them after the mortgages reset. After all it is far better to give people the American dream rather have them realize the American dream. Now the rich tax payers are going to have to bail out not only our financial infrastructure but also faithless borrowers. So Obama has stayed on message and sticks to his talking point "95% of the people will receive a tax cut". Nothing new in his policy simply because Obama does not have a plan. The Senate leader said it himself "No one knows what to do". This is great, we have elected partisan hacks that admit they have no idea what they are doing. We have corrupt politicians like Chris Dodd allowing Bank of America to write the bailout plan for countrywide. We have corrupt politicians like Charles Rangel writing our tax policies while they evade those very same taxes. We need to reform Washington not just change which political party reaps the money and returns it to a different set of corrupt lobbyists. John McCain offers that reform.

This is a change versus reform election. Obama wishes to change political parties; McCain wishes to reform Washington. The pathetic pawns and democratic pundits are pushing the idea that McCain is bouncing all over the place. They say he looks lost and out of touch. But here is the reality. Obama has no ideas so he is allowing our financial crisis to play out. John McCain is actively pursuing plans to save our economy and all of its infrastructure. Yesterday McCain came out with a comprehensive economic plan that saves the financial infrastructure, fuels jobs and employment, reduces energy dependence, and resolves the mortgage crisis. McCain understands that none of these issues work in a vacuum. McCain has shown he understands these issues and crisis' are intricately tied. Obama believes they are stove piped issues. Obama represents a change of political parties. The pathetic pawns are pushing this meme by saying "Republicans have had their chance". McCain offers a reform of Washington. McCain promises bi partisanship to resolve our issues. McCain has a history of actions that prove he is bi partisan. Obama talks about bi partisanship but has never reached out to be bi partisan. Obama is a partisan hack that only knows the two party system. McCain understands there is a middle. Middle America needs to stand up and be heard. There is only one candidate that will work across the aisle to resolve our problems. McCain is the only candidate that will look out for middle America. This is yet another 3:00 am moment and Obama is no where o be found. Obama is showing he has zero ideas and is waiting to see how the financial crisis plays out so he can come in at the end and claim it was his idea all along. Obama is AWOL.

4 comments:

Vigilante said...

Wall Street Journal:

John McCain has made it clear this week he doesn’t understand what’s happening on Wall Street ... on Thursday, he took his populist riffing up a notch and found his scapegoat for financial panic — Christopher Cox, the chairman of the Securities and Exchange Commission… Mr. McCain clearly wants to distance himself from the Bush Administration. But this assault on Mr. Cox is both false and deeply unfair. It’s also un-Presidential….In a crisis, voters want steady, calm leadership, not easy, misleading answers that will do nothing to help. Mr. McCain is sounding like a candidate searching for a political foil rather than a genuine solution.

Ray said...

I do still see a lot of jobs posted online. About.com just added 3 new jobs sites to their top 10 job site list:

www.linkedin.com (networking)
www.indeed.com (aggregated lists)
www.realmatch.com (matches you to jobs)

Whole Top 10 list here:
http://jobsearch.about.com/od/joblistings/tp/jobbanks.htm

kester said...

Facts can be annoying things for partisan bloggers, but here's a link to an article with the statistics on real income growth under Dem vs GOP presidents since 1948.

In short, real GNP growth is consistently higher under Democratic presidents, and the growth of income disparity is slower.

http://www.nakedcapitalism.com/2008/08/alan-blinder-is-history-siding-with.html

Thanks to nakedcapitalism.com for this, although the same article has appeared on many other media sites.

mike3 said...

"Facts can be annoying things for partisan bloggers, but here's a link to an article with the statistics on real income growth under Dem vs GOP presidents since 1948."

Or they can be useful to them as well. For example, what you pointed out could be helpful to a Democratic partisan blogger.